London-based FinTech startup Banked, which is building a next-gen global payment network, has closed its Series A funding round on $15m.
Insight Partners served as the lead investor, with commitments also coming from Citi and National Australia Bank Ventures. Banked’s newly announced commercial partner and global payments firm Rapyd also participated in the round.
With the funds, the global payment network hopes to expand internationally, with a focus on the US. To support this move, the company recently opened an office in California.
The FinTech company is on a mission to become the leading provider of alternatives to card payment methods. Users do not need to create an account or pass any login information to Banked, instead they can simply choose their existing bank at checkout and are securely connected to their mobile banking app to biometrically authenticate the purchase.
It claims that the total checkout time for a first-time user is under 30 seconds.
It claims that this ‘Pay by Bank’ payments method is growing rapidly. It pointed to research by Allied Market Research that predicts the market will reach $43bn by 2026 in Europe alone.
Banked CEO Brad Goodall said, “Pay by Bank is taking off globally. Leading banks recognise the significant opportunity it presents to improve the end-customer experience and merchant value proposition. This is supported by increasing merchant demand driving use cases for Pay by Bank in the enterprise B2B and B2C space. There is a queue forming to be part of the new payment network and to help shape its future with a seat at the table.
“Banked has a unique partnership model which relies on global go-to-market partners in the shape of banks, PSPs and technology platforms. This means we have had to build real depth and capability in areas such as risk and compliance, security, consumer protection, platform scalability and most importantly feature rich user experiences for our partners and their clients and customers. Banked has been heads down building products and partnerships for four years and it is exciting to be launching markets globally at pace now.”
Banked has around 100 staff and is continuing to grow despite the tough market.
The company previously raised capital from Bank of America. Banked has raised a total of $50m in equity since it was founded in 2018.
Insight Partners is no stranger to the FinTech sector. It recently co-led the $50m growth round of Zest AI, which automates underwriting with better lending insights.
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